Chinese Internet Users to Surpass 200 Million

According a recent market research study, Chinese Internet users are expected to increase from 96 million today to more than 200 million in 2007. Not a bad growth curve, but there are caveats aplenty…

    Despite the size of this market, traditional internet e-commerce may not be profitable for some time. Five major barriers to e-commerce in China, as identified by Morgan Stanley, are: 1) poor credit/payment systems; 2) inefficient logistics/distribution channels; 3) a low level of trust in online payment methods; 4) a small installed base of PCs; 5) and low income levels.
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Author: John Yunker

John co-founded Byte Level Research in 2000 and is author of The Web Globalization Report Card. He also co-founder of Ashland Creek Press.